Motor Vehicle Dealer Overview

In this post you’ll find a general overview of dealer bonds, also known as MVD bonds & license bonds.  For specific information on what type of bond and documentation you'll need to submit to satisfy the surety bond requirement of your dealership licensing process, please contact the appropriate motor vehicle agency in your state.

Auto dealers, used, new, and wholesalers in most states must file a surety bond with the state’s Department of Motor Vehicles before they can receive their dealer license.  Surety bonds are designed to protect the customers of the auto dealer.  A surety bond will help ensure that your dealership will follow the rules and regulations in the state where the dealership is located.

Typically, dealers obtain their motor vehicle dealer bond by applying with a surety bond company.  As part of the application process the dealer will fill out an application and agree to a credit check and may have to submit financial documentation, so that the bond company can be sure they are credit worthy and financially stable. 

Credit challenged clients may have a harder time acquiring a bond.  Some bond companies will not even help the dealer.  At Ashton Agency we are able to help almost all credit situations.  We have many programs available to help the clients with less than perfect credit.  Ashton Agency has been helping dealers all across the US get bonded quickly and easily for over 40 years.

Call (800) 452-2663 / (800) 451-4854 to speak with one of our bond specialist, or visit our website at http://ashtonagency.com.

Oklahoma MVD and other bond changes.

Oklahoma used motor vehicle dealers, auctions, non-auction consignments, wholesale dealers, used motor vehicle rebuilders, and manufactured housing dealers will be required by the State of Oklahoma to carry a two year term bond for all licenses expiring 12/31/2015.   Ashton Agency is here to help you with this newly mandated change.  We have updated bond forms ready and have also been informed that the State of Oklahoma will accept a Continuation Certificate for renewal dates extended out to 12/31/17.  We are ready and prepared for this change.

If you have any questions about your upcoming Oklahoma used motor vehicle dealer bond renewal or require any of the other bonds stated above, please reach out to our team at Ashton Agency.

Visit Ashton Agency’s website at www.ashtonagency.com or call (800) 451-4854

Florida Passes Laws on Liens, Registration Fees

On May 3, Florida passed a bill that will result in a drop in vehicle registration fees in an effort to reduce taxes and fees. Auto dealers will have an additional resource to recover vehicles under lien. The Department of Transportation bill added the amendment after Governor Rick Scott signed. The bill would go into effect on October 1st.

The new passage will follow a bill that cuts about $400 million in vehicle registration fees, which will go into effect September 1st.

Scott says that these efforts are part of his "It's Your Money Tax Cut Budget" plan and reduces fees between $5 and $11.50 per registration on cars, trucks, motorcycles, mopeds, and antique vehicles.

This is great news for Florida motor vehicle dealers. Cutting costs will certainly provide more room for expenses. Florida auto dealers should already be renewed for their surety bond. However, Ashton Agency can also help your shop with several options, including garage liability insurance, garage keeper, floorplanning and warranties.

Call the Ashton Agency today to speak with one of our representative at 1 (800) 451-4854 or visit us on our website www.ashtonagency.com. Feel free to fill out our easy-to-use applications for a FREE quote within ONE business day!

Miscellaneous Auto Related Bonds

There are quite a few auto related bonds separate from auto dealership bonds.  These are required bonds by businesses for repairing autos, sales of auto parts, auto dismantlers, auto parts recyclers, designated agents, vehicle inspection businesses, etc.  All of these bonds are regulated by the Department of Motor Vehicles in individual states.

Some of these are akin to what we would call “auto junk yards”, whose businesses provide a valuable service as a secondary market for used auto parts and to do-it-yourself workers who repair autos and can bypass the retail auto parts store and find parts less expensively at a recycler.

Designated Agents, after being certified by their states "licensed and bonded", can handle auto title paperwork for their various states.

Others, such as VIN inspection stations, verify vehicle inspection numbers for possible tampering or theft.

A sample of some actual bonds required are:

• Dismantler and Parts Recycler bond in Alabama
• Auto Repairers/Rebuilders bond in Connecticut, Oklahoma and Utah
• Designated Agent bond in Alabama
• Motor Vehicle Inspection Station bond in Louisiana
• Auto Salvage bond in Florida
• VIN (Vehicle Inspection Number) bond in California and New Mexico.

Check with your individual states’ MVD agency for more state specific information.

If your business has need for any of these miscellaneous bonds, we here at the Ashton Agency can help! We have been selling bonds for over 45 years throughout the country.

Call (800) 451-4854 (East Coast) or (800) 452-2663 (West Coast) for assistance with one of our friendly customer service representatives or visit our website at www.ashtonagency.com for your bond at the best rates!

Shopping for an ATV (All Terrain Vehicle)

Shopping for a new ATV? For first-timers, it can be difficult finding the right vehicle in good condition for a great price. We've helped layout a quick guideline for ATV buyers. Some dealers can be extremely helpful, while others are looking to only close the sale.

Take a look at some steps you should take before pulling out your wallet.

Know Your ATV
As with any big purchases, you need to do your research and homework. There may be several brands, types and background information you must know before taking on an ATV dealer. Bring a friend or someone knowledgeable in ATVs and products.

Inspect 
Be sure to look closely into the engine, frame, mounts, chains, and other parts. A common problem that can cause engine failure is low oil or coolant. Check to ensure all fluids are at the proper level to avoid any damages. Use a flashlight to inspect for any signs of rust, cracks, wear and tear, and leaks.

Adjust Your Ride
Sit on your ATV and get comfortable with your ride. Adjust the handlebars to your liking, as well as the clutch levers, brake levers, foot shifter and the controls. Turn on the engine and listen to it (experience needed). Check all the lights--headlights, taillights, signal lights. It’s important you understand where all the controls and functions are when you’re riding.

Ride It!
No matter how many times you sit on the ATV and steer, it is NOT the same as driving and operating the vehicle. Take the ATV out for a ride! It may turn out to be a vehicle that does not drive the way you imagined; or it could be the perfect ATV.

Budget
After you decide on an ATV that you like, keep in mind of the price tag. Is it affordable within your budget? ATV Dealers usually have years of experience and may not lower their prices unless you can come to terms of agreement. If you’re shopping for a used ATV, you will need to make sure the price reflects the proper value, in terms of mileage, year, condition, etc.

Buying a new or used ATV can be a big commitment. It's important you are satisfied with your purchase. ATV Dealers also look for ways to help enhance their clients' shopping and riding experience.

However, there are times when contracts and agreements have been broken between the seller and buyer. ATV Dealers, a surety bond could protect your clients from any financial losses as a result of poor financial decisions, damages, unethical decisions, or a failure to follow state and local laws on the part of you. Obtaining an ATV Dealer Bond will help your customers perceive you as a trusted Principal that will stand behind your business decisions.

For a free quote on an ATV Dealer Bond, visit our website at http://ashtonagency.com or call (800) 452-2663 to speak with one of our helpful customer service representatives to assist you on your bond today!

7 Steps to Becoming A Motorcycle Dealer

Starting a motorcycle shop--like any other business--can be extremely stressful and difficult. However, it has lucrative benefits with strong business and financial plans. Here are 7 steps to helping you start up your own shop and become a Motorcycle Dealer.

Step 1
Register Your business. You must obtain a business license, register for taxes, and follow all requirements of the Department of Highway Safety and Motor Vehicles. These are some prerequisites (depending on your state) for obtaining an auto dealer permit.

Step 2
Strong Business and Financial Plan. As with any business, you need a solid business plan that details every aspect of your shop, ranging from expenses to marketing. You also need a sound financial plan in order to obtain loans and gauge cost expenses for inventory, staff, mechanics and parts.

Step 3
Contact the Manufacturer. You must arrange who you will be purchasing inventory, equipment and orders from. Discuss warranty options, shipping fees and bills of sale regarding customs. Also ask about each manufacturer's requirements in terms of minimum purchasing orders and necessary liquidity. Keep in mind how much floor space you will need for bikes and other inventory.

Step 4
Market Your Shop. 8 out of 10 small businesses fail in the first year. Why? Marketing is a major factor that can determine your motorcycle shop's success. Your shop will need exposure and advertisements via print, online, and word-of-mouth. Communicate your mission, products and services to offer unique value to your customers.

Step 5
Hire Staff. Selected qualified and knowledgeable dealers and mechanics may be a challenge. They should have product knowledge, preferably a background in sales, and understanding of how the business works (products offered, financing options, brands, etc).

Step 6
Stock Up Inventory. Whether you are planning on a small or large shop, you will need all the necessary purchases, such as parts, motorcycle gear, and custom orders. Most shops start off as a small business so they must budget smart and not overstock their inventory.



Step 7
Get a Surety Bond For Your Motorcycle Dealership. Not only do states often requires this to obtain a business license, but it also protects your customers from their purchases and contracts. Your establishment will be much more trusted among clients with a Motorcycle Dealer Bond.

Ashton Agency has helped thousands of auto and motorcycle dealers nationwide to get their dealer bond and garage liability insurance at the best rates. Call (800) 451-4854 (East of the Mississippi) or (800) 452-2663 (West) to speak to one of our helpful customer service representatives to assist you with your bond today!